Essel Infraprojects has formed a consortium with Chinese energy group Golden Concord Holdings (GCL) to set up 5GW of solar module manufacturing capacity by 2020 in the Indian state of Andhra Pradesh.
The firms have committed an investment of $2bn for developing the integrated solar manufacturing hub to serve both Indian and overseas market. It is expected to create around 15,000 skilled jobs.
Essel Group chairman Subhash Chandra said: "Renewable energy is the key for the economic growth of our country. It will aid clean energy initiative of the government.
"Taking the lead, Essel Group intends to facilitate India’s green energy requirement by delivering sustainable energy and creating value to empower people, communities and businesses."
The two companies will also collaborate to invest and attract indirect investments of up to $10bn for establishing a smart industrial park in the state, to encourage Indian and Chinese companies to establish multiple manufacturing centres.
The new commitments are in line with Indian Prime Minister Narendra Modi’s ‘Make in India’ initiative and the country’s target to install 100GW of solar power capacity by 2022.
GCL Group vice-chairman Shu Hua said: "GCL looks forward to contributing towards the progress of this wonderful country by not only bringing in investments but also the latest available technologies of PV industry."
Renewable energy investments are being made across the world, in line with the global climate change agreement signed recently by 195 countries.
India has also launched a $1tn global tie-up with France for driving solar power infrastructure across countries, especially in developing ones with ample solar potential.
Image: India intends to increase its renewable energy capabilities, with a target to develop 100GW of solar power by 2022.Photo: courtesy of Graur Codrin / FreeDigitalPhotos.net.